Can you believe we are in mid-2018 already? If one of your resolutions for the year was a big move, time is running out. One of the biggest decisions is buying, selling, or building a new home. But first, get acquainted with the market trends and if possible consult an expert. The financial crisis of ten years ago showed us that the real estate sector can also experience some scary crashes. It is important to evaluate how the market has behaved so far and make some predictions for the remaining part of the year.
Obviously, keeping informed is one of the most important obligations for anyone in the real estate sector, or someone considering getting in. Our role is to provide a candid opinion about the sector and to provide quality guidance. The Southwest Florida Real Estate is an interesting market and one of the most dynamic in the region. Providing this information will help you keep informed of the news and factors that affect buyers and sellers of Southwest Florida Real Estate. Such information changes regularly, so it is important to get updates regularly.
There has been a low inventory of houses in Southwest Florida Real Estate sector. Therefore, the prices have been on the rise due to a shortage. Zillow estimates that median home prices increased by 6.9% from a year ago. Chief economist Syenia Gudell says that the prices are likely to continue rising owing to a low inventory.
There has been a change of focus from expensive homes to entry-level homes. A few years back, building a first house was very expensive. The current trend in Southwest Florida Real Estate is that starter homes are less expensive. As a result, home prices are stabilizing. Country-wide, there was a 7.2% rise in single-family homes and 4.2% fall in multi-family homes. The largest contributor to the changing statistics entry-level homes.
Millennials and the suburbs
For most people under 35, living in the urban centers is more appealing for easy access to entertainment, shopping, and job opportunities. However, the rising cost of housing in the cities such as Florida makes them unaffordable. Young families are looking to move into suburbs such as Cape Coral in Southwest Florida where housing is more affordable.
Remodel vs. sell?
For many homeowners, remodeling is more attractive than selling. Fewer homeowners are interested in selling their homes since buying new ones is very expensive. On the contrary, most of them are remodeling their houses to give them a new look. It is certainly a good time for those who are looking to buy new homes in Southwest Florida. When fewer people are looking for new houses to buy, there is less competition, which boosts your chances to buy.
Home prices are stabilizing
The Southwest Florida real estate is stabilizing steadily, which is good news. The prices of homes are expected to rise by 3.2% in 2018 and therefore, the outlook for the sector is stable. It is unlikely that a big bust is on its way since the growth is within the normal curve.
None of these predictions is guaranteed. But if you are looking to buy or sell, that is a good place to start. The Southwest Florida real estate is definitely showing a good run and is likely to remain stable in the near future. Reach out to us today for more information.